Americans, led by Stephen F. Austin, began to settle along the Brazos River in 1821 when Texas was controlled by Mexico, recently independent from Spain. In 1836, following a brief war between the American settlers in Texas and the Mexican government, the Independent Republic of Texas was proclaimed with Sam Houston as president. This war was famous for the battles of the Alamo and San Jacinto. After Texas became a state in 1845, border disputes led to the Mexican War of 1846–1848.

Possessing enormous natural resources, Texas is a major agricultural state and an industrial giant. Second only to Alaska in land area, it leads all other states in such categories as oil, cattle, sheep, and cotton. Texas ranches and farms also produce poultry and eggs, dairy products, greenhouse and nursery products, wheat, hay, rice, sugar cane, and peanuts, and a variety of fruits and vegetables.

Millions of tourists spend over $50 billion annually visiting more than 100 state parks, recreation areas, and points of interest such as the Gulf Coast resort area, the Lyndon B. Johnson Space Center in Houston, the Alamo in San Antonio, the state capital in Austin, and the Big Bend and Guadalupe Mountains National Park.

The 2011 drought gave Texas its hottest, driest 12 months on record. The drought brought up the same questions of water supply as the state's seven year drought back in the 1950s. With the state's population predicted to double by the year 2060, Texas began researching new water sources in 2011.